Bognor Regis leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. Most owners of residential leasehold property in Bognor Regis enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Bognor Regis you really ought to check if your lease has between 70 and 90 years remaining. There are good reasons why a Bognor Regis flat owner with a lease having around eighty years left should take steps to ensure that a lease extension is actioned without delay
Leasehold residencies in Bognor Regis with in excess of one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Irrespective of whether you are a tenant or a freeholder in Bognor Regis,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Bognor Regis valuers.
Trailing lengthy correspondence with the landlord of her garden apartment in Bognor Regis, Kayleigh initiated the lease extension process just as her lease was nearing the all-important eighty-year threshold. The transaction was concluded in November 2011. The freeholder’s fees were kept to an absolute minimum.
Mr P Davies was assigned a lease of a studio apartment in Bognor Regis in July 2008. The question was if we could approximate the premium could be for a ninety year lease extension. Comparative flats in Bognor Regis with 100 year plus lease were valued about £233,200. The mid-range amount of ground rent was £60 billed per annum. The lease concluded in 2086. Taking into account 61 years as a residual term we calculated the premium to the landlord for the lease extension to be between £22,800 and £26,400 plus fees.
Mr and Mrs. C Brown moved into a garden apartment in Bognor Regis in March 1997. The question was if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by ninety years. Comparable residencies in Bognor Regis with an extended lease were worth £171,800. The mid-range amount of ground rent was £55 invoiced annually. The lease came to a finish on 14 August 2075. Given that there were 50 years outstanding we calculated the compensation to the freeholder for the lease extension to be between £33,300 and £38,400 not including legals.